Arla switches European operations to 100% renewable power
Long-term wind and solar deals back supply chain shift
17 February 2026
1 minute read
By: Arla Foods now sources 100% renewable electricity across its European sites, the company said.
Europe accounts for about 93% of Arla’s total electricity consumption. The farmer-owned dairy co-operative operates 46 sites in seven countries.
The renewable supply is secured through a combination of open-market certificates and long-term power purchase agreements. These contracts, signed in recent years, provide electricity generated from wind and solar projects in several countries.
Agreements include 44 gigawatt-hours per year from solar and wind plants in Pronsfeld, Germany, near Arla’s largest dairy; a combined 20 gigawatt-hours per year from two solar plants in Lincolnshire and Kent in the United Kingdom; 43 gigawatt-hours per year from a Danish solar park; and 90 gigawatt-hours per year from what Arla described as Sweden’s largest solar power purchase agreement to date.
Some renewable certificates are purchased directly from Arla farmers who generate electricity on their farms, including from wind turbines.
David Boulanger, executive vice-president of supply chain, said long-term agreements help enable investment in new renewable capacity.
“Energy companies often need the extra security of a guaranteed consumer before committing to a large investment in renewable energy such as a wind or solar park. They seek partners like us who are capable of purchasing their electricity at a viable price – and not just for a couple of years but for the long term. We have signed long-term PPA’s showing our continuous commitment to producing dairy as sustainable as possible now and in the future”, says David Boulanger.
Arla said the shift to renewable electricity coincides with broader investments to electrify its supply chain and reduce fossil fuel use. Electricity now accounts for nearly 30% of the company’s total energy consumption, a share expected to increase.
“While reducing energy consumption will always be our first priority, electrifying our supply chain is also an important driver to future-proofing and decarbonise our operations,” Boulanger said.
